Nepal bans cryptocurrency. Nepal Rastra Bank declared Bitcoin transactions illegal on 13 August 2017 and, by notices of 9 September 2021 and 23 January 2022, declared all businesses and transactions involving virtual currency and cryptocurrency illegal. Nepal Police (CIB) confirmed the prohibition in February 2022. There is no licensing regime.
| Status | Banned |
| Risk Score | 82/100 (Very High Risk) |
| Region | south asia |
| Currency | NPR |
| Capital Gains (Personal) | N/A - crypto banned |
| Capital Gains (Corporate) | N/A |
| VAT on Crypto | No |
| Staking Tax | N/A |
| Airdrop Tax | N/A |
No crypto tax rules exist, as all virtual currency and cryptocurrency transactions are illegal in Nepal.
| Required | No |
| Regulator | NRB |
| Framework | Nepal Rastra Bank notices of 13 August 2017, 9 September 2021 and 23 January 2022 declaring virtual currency and cryptocurrency transactions illegal |
| Ease | very_complex |
No detailed enforcement information available
| Status | Research |
| Name | Nepal CBDC |
| Issuing Authority | The Nepal Rastra Bank |
| Model | retail |
| Technology | DLT |
| KYC Required | Yes |
| Travel Rule | No |
| FATF Member | No |
| FATF Status | grey_list |
| FATF Body | APG |
| Suspicious-Activity Reporting | No |
Status: Banned
Status: Banned
Status: Banned
| Legal | No |
| Electricity Cost | $0.06/kWh |
| Renewable Energy | 90% |
| Infrastructure | fair |
Mining is banned in Nepal. Electricity cost is low and renewable energy share is high, but mining is prohibited by law.
| Stability | moderate |
| Sanctions | No |
| Corruption Index | 34/100 |
| Banking Access | restricted |
| Sanctions Program Active | No |
Risk Factors
Nepal has moderate political stability with ongoing governance challenges. It is not under international sanctions but has restrictive banking access for crypto businesses and capital controls that increase operational risks.
Nepal bans cryptocurrency. Nepal Rastra Bank declared Bitcoin transactions illegal on 13 August 2017 and, by notices of 9 September 2021 and 23 January 2022, declared all businesses and transactions involving virtual currency and cryptocurrency illegal. Nepal Police (CIB) confirmed the prohibition in February 2022. There is no licensing regime.
Nepal is classified by FATF as: grey_list.
KYC is mandatory for crypto businesses.
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Explore IT Services →Last reviewed: 2026-09-20 · Data source: Soken Crypto Legal Map
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